Following a holiday-shortened week, U.S. equities logged in their three-session win streak ahead of the unofficial kickoff of the Q2 earnings season. After the closing bell, aluminum giant Alcoa (AA) reported a $119 million second quarter loss due to weak aluminum prices, putting the bellwether’s EPS at a mere 7 cents per share. Later this week, financial giants JPMorgan (JPM) and Wells Fargo (WFC) are slated to post their earnings. So far, analysts have been quite negative on this coming earnings season [see The Cheapest ETF for Every Investment Objective].
Ahead of Alcoa’s unofficial kickoff of the Q2 earnings season, all three major U.S. equity indexes managed to close in positive territory. The Dow Jones Industrial Average ETF (DIA, A) rallied 0.66% after its underlying index was within 200 points of reaching its record close of 15,409.39. The S&P 500 ETF (SPY, A) rose 0.57%, while the tech-heavy Nasdaq ETF (QQQ, B+) inched up 0.11%.
In Europe, markets were broadly higher after Portuguese Prime Minister Pedro Passos Coelho announced a cabinet reshuffle over the weekend; the Stoxx Europe 600 rallied 1.4%. Meanwhile, Japan’s Nikkei Stock Average dropped 1.4%, while China’s Shanghai Composite fell 2.4%.
Bond ETF Roundup
U.S. Treasuries traded higher today following the previous session’s massive selloff. Yields on 10-year notes fell 7 basis points, while 30-year bonds and 5-year note yields fell 3 and 9 basis points, respectively [see also Seven Simple & Cheap ETF Model Portfolios].
Crude oil futures traded lower today, but still settled above $103 a barrel on a stronger dollar and looming concerns over violence in Egypt. In other energy trading, gasoline fell a cent while natural gas jumped 3.4%. Meanwhile, gold futures rose $22.20 to settle at $1,234.90 an ounce.
ETF Chart Of The Day #1: (FDN)
The DJ Internet Index Fund (FDN, B+) was one of the best performers today, gaining 0.90% during the session. After shares of Google (GOOG) climbed back above $900, this ETF gapped significantly higher at the open. FDN slid sideways for the remainder of the day, eventually settling at $47.11 a share [see High Tech ETFdb Portfolio].
ETF Chart Of The Day #2: (XLP)
The Consumer Staples Select Sector SPDR ETF (XLP, A) also posted a strong performance today, gaining 1.00% during the session. Consumer staples shares were among today’s best performers, allowing this ETF to jump significantly higher during the first hour of trading. XLP eventually settled at $40.43 a share [see Consumer Centric ETFdb Portfolio].
ETF Fun Fact Of The Day
The best-performing regional strategy over the trailing 1-year period has been the Global Titans ETFdb Portfolio, which has gained 14.92%.
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Disclosure: No positions at time of writing.